Business
Enthusiast Gaming Announces Commencement of Trading on the TSXV Under the Symbol "EGLX"
Toronto, Ontario--(Newsfile Corp. - September 6, 2019) - Enthusiast Gaming Holdings Inc. (TSX...
About this update from Enthusiast Gaming Holdings Inc
[{"type":"text","content":"Enthusiast Gaming Announces Commencement of Trading on the TSXV Under the Symbol \"EGLX\"Provides Explanation of Conversion Calculation and Capital StructureToronto, Ontario--(Newsfile Corp. - September 6, 2019) - Enthusiast Gaming Holdings Inc. (TSXV: EGLX) (\"Enthusiast Gaming\" or \"New Enthusiast\") is pleased to announce that its common shares will commence trading on September 9, 2019 on the TSX Venture Exchange (\"TSXV\") under the symbol \"EGLX\".Enthusiast Gaming is the resulting issuer following two transactions that closed on August 30, 2019, namely: (i) the acquisition by J55 Capital Corp. (\"J55\") of all of the issued and outstanding securities of Aquilini GameCo Inc. (\"GameCo\") pursuant to a previously announced reverse take-over and amalgamation (the \"Amalgamation\"), and (ii) the acquisition by J55 of all of the issued and outstanding securities of Enthusiast Gaming Holdings Inc. (\"Old Enthusiast\") pursuant to a court-approved plan of arrangement (the \"Arrangement\" and together with the Amalgamation, the \"Transactions\"). Following the closing of the Transactions, J55 changed its name to Enthusiast Gaming Holdings Inc., which is the entity whose common shares will commence trading today on the TSXV, and implemented an 8:1 share consolidation (the \"Consolidation\"). Prior to the completion of the Amalgamation, GameCo acquired all of the issued and outstanding securities of Luminosity Gaming Inc. and Luminosity Gaming (USA), LLC.Given the complexity of the Transactions combined with the Consolidation, Enthusiast Gaming wishes to further clarify the specific consideration that the former shareholders of Old Enthusiast and GameCo are entitled to receive. Old Enthusiast Shareholders Each former shareholder of Old Enthusiast shall receive 0.5275 shares of New Enthusiast for each common share of Old Enthusiast held prior to closing, which is calculated by dividing the 4.22 J55 shares issuable pursuant to the Arrangement per Old Enthusiast common share by 8 to account for the Consolidation. The conversion formula is below:1000 Old Enthusiast shares x 4.22 (conversion into J55) / 8 (8:1 Consolidation) = 527 New Enthusiast shares GameCo Shareholders Each former shareholder of GameCo shall receive 0.125 shares of New Enthusiast for each common share of GameCo held prior to closing, which is calculated by dividing ...